On 25 March in an interview with Fortune Balancing the Ledger, he made a statement David Burt that The Premier of Bermuda, David Burt, has argued that a QuadrigaCX-like situation could not have happened in Bermuda because of the country’s existing legislation in regard to cryptocurrencies.
In December 2018, Burt delivered his comments following QuadrigaCX’ founder, Gerald Cotten’s sudden death and monetary problems the exchange afterward faced. QuadrigaCX has not been able to access its cold wallets wherever it unbroken most of its assets, as a result of Cotten was apparently exclusively liable for the wallets and corresponding keys.
Burt expressed within the interview that QuadrigaCX’s personal keys might never have been lost if the exchange were registered in Bermuda, and not Canada. Burt said:
“If Quadriga was licensed under the Bermuda Monetary Authority, what has happened would not have been able to happen, because we have rules regarding the custody of master keys and making sure they’re not held by a particular individual.”
Burt apparently discussed the country’s Digital Asset Business Act 2018, the new regulatory regime that sets visible boundaries for blockchain and cryptocurrency-related businesses and protects the rights of their existing and potential clients:
“It basically states what you have to do with the master keys, how those things have to be handled, and making sure that they cannot be lost, or if they are lost, there’s a way for that recovery to happen.”
Bermuda is known for its blockchain and cryptocurrency-friendly stance. Last year, the country’s government proclaimed plans to create amendments to the Banking Act so as to determine a replacement category of the bank to render services to native fintech and blockchain organizations. Cyril Burt same then those individual bank policies do not offer banking services to the new sort of firms “cannot be allowed to frustrate the delivery on our promise of economic process and success for Bermudians.”
Bermuda additionally enforced new rules on initial coin offerings (ICOs), that need Bermudan ICO issuers to supply elaborate data regarding “all persons attached the ICO.”